Taipei food and beverage industry insight¶

Market Sizing, Competition, Barrier of Entry, and Recommendation

11 Oct 2020

Food industry is the most popular choice for Taiwanese young entrepreneur¶

"76 percent of young Taiwanese have either already started their own business or would like to do so... with nearly 91 percent of respondents who indicated they wanted to run their own business saying that they are interested in selling street food or local dishes"

Taipei Times, 2018

Entrepreneurship is not easy and good information could help¶

"... while 60 percent who have tried failed to turn a profit."

Taipei Times, 2018


"...common reasons new businesses do not make it: not knowing your market enough, client, competition, buying power..."

Forbes, 2019

This report try to help Taiwanese entrepreneur by informing important information

Especially in the food and beverage industry

¶

*the term "restaurant" in here mean food and beverage business (could mean food stall or other)

This report will cover¶

• Restaurant market size, the number of people that are likely to buy the product
• Competitor per area, the number of existed restaurant in the area
• Cost to open a restaurant in some area, give estimation of opening a restaurant cost
• Recommendation for opening a restaurant, things that could be considered

Most passerby concentrated on Taipei mid-west area

The difference between mid-west area is not really that significant

The buying power (per person) almost equal everwhere

With per meal budget about 200 NTD

¶

Mid-west area have the highest market size

About 5 times of the other area

¶

Most restaurants are located in Taipei mid area¶

Based on competition, some area might not suitable for setup new business

There are some area that have high competition

Mid-east area have less competition level

Assumption is based on market size per restaurant in the area

¶

The cost to open a shop in west area is high

They cost about 2 times compare to the other area

¶

Taipei mid-east area might have a good ROI

You might want to look more the village area (the green is better)

¶

If you really just start (little experience / fame), try east area

This is the area to start small, have lowest rent cost, but pretty good ROI

¶

If you want to have a medium start, mid area is a good place

The rent cost might be higher, but the market size is higher

¶

Use passerby buying power to set product pricing

Or you could pick the area that fit your product pricing

¶

Consider take away / delivery market

The market size is huge, especially in this Covid-19 situation

¶

“We experienced 5,000 percent growth in the past 24 months,” Yu said. “That’s more than the previous six years combined.”

Discover Advanced Trends in E-economy Summit, 2020

Thank You¶

feel free to reach me via laurent.saerang@gmail.com